Oil likely to remain king of passenger vehicles, analyst says (Video)

Even with a growing domestic natural gas supply, oil is still expected to dominate energy for the foreseeable future, according to one major energy company.

An executive from ExxonMobil Corp. (NYSE: XON) told a conference on natural gas utilization that he doesn't see light passenger vehicles -- your typical cars -- becoming huge users of natural gas through 2040. In 2010, roughly 3 billion cubic feet of gas was used in transportation. That was mostly light vehicle and heavy-duty trucks. As time goes on, heavy duty trucks will take most of the share, said Nick Jones, energy adviser in corporate strategic planning at ExxonMobil Corp.

More heavy-duty fleets will switch to natural gas as engine technology changes and natural gas continues to have a price advantage and more stations are available, he said.

What isn't clear is nuclear development in the wake of the 2010 nuclear disaster at Fukushima plant. Jones said nuclear will likely remain in the mix, even with the rise of natural gas use. Jones said he thinks it's in flux.

"Because we are doing a long-range outlook we think that particularly the deployment of newer models of reactors with different control structures. Nuclear we think can be done safely and done reliably and newer technology will ensure that," said Jones. "There is a large demand for electricity and nuclear will have to play a significant role. Without it, it's hard to see how we get there."